In a recent development, Netflix has officially shut down its game studio in Southern California, marking another significant event in an industry grappling with layoffs and restructuring. This closure follows less than two years of operation, as the studio was established in 2022 under the internal name “Team Blue.”

The decision to close the studio reflects broader challenges faced by Netflix in its gaming endeavors, despite prior enthusiasm and investment in the sector. The company had made high-profile hires, including notable figures like former Halo creative lead Joseph Staten, signaling ambitious plans for innovative gaming projects and advanced hardware.

However, these aspirations have not materialized as hoped. The shutdown of the California studio not only disbands the team but also raises questions about Netflix’s future in the gaming landscape. A representative from Netflix confirmed this closure, as reported by Stephen Totilo of Game File, further illustrating the volatility within the gaming industry as companies reevaluate their strategies.

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